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Captive Customers Differ from Unprofitable Customers in That Captive Customers

Question 42

Multiple Choice

Captive customers differ from unprofitable customers in that captive customers ________.


A) are the result of mismanaged customer selection
B) are simply "big spenders"
C) are a drain on a business's profits because the cost of acquiring them can never be recovered
D) have a low desire to repurchase but are unable to move easily to another company's product
E) produce a referral value that is over three times their customer lifetime value

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